Conforming Conventional Home Loans
Hometown Equity Mortgage is an experienced home loan lender. We’re here to help you go through the maze of information to help you obtain a “conforming” or “nonconforming” conventional loan that fits your needs.
We’re also licensed to serve you in 46 US states. Click here to view the list
What are Conforming and Non-Conforming Home Loans?
Unlike a Federal Housing Administration loan, a conventional mortgage loan isn’t backed by any federal agency and most loans will require between 5% and 20% down.
Here are some key points:
- Most have either fixed or adjustable interest rates.
- Typical fixed interest rate loans have a term of 15 or 30 years while a shorter term loan usually results in a lower interest rate.
- Adjustable-rate mortgages (ARMs) fluctuate in relation to the rate of the standard financial index. Monthly payments can go up or down accordingly.
- A “conforming” conventional loan is generally under $417,000 or less for a single family home. These limits can vary in pricier parts of the USA.
- Loans above the lending limits set by Fannie Mae and Freddie Mac are called nonconforming or Jumbo loans.
- If you make a down payment of 20% or more you generally will not be required to carry mortgage insurance.
- Includes down payment amount which requires disclosure of repayment terms and annual percentage rate (APR).
Do I Qualify? *
There are established guidelines to qualify which can change frequently. Here’s some of the areas to qualify in:
- Borrower credit scores should be at least a 620 credit score.
- Minimum down payments as low as 3%.
- Chapter 13 Bankruptcy – You may have to wait 2-4 years to qualify.
How To Get Started Online
Hometown Equity Mortgage makes it easy to get started. Call us at: 833-381-8733
* Disclaimer: Certain restrictions and credit approval apply; not all applicants will qualify. All approvals are subject to underwriting guidelines which include but are not limited to: acceptable credit & income history, current homeowners insurance, property value, debt to income ratio, etc. Minimum & maximum loan amounts apply. Please contact Hometown Equity Mortgage for further details.